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31 comments on The Productivity of Vehicles

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joule on October 20, 2005 - 12:00pm Permalink | Subthread | Comments top
As already clearly pointed out, many things that are included in the GDP use little, in any energy, and the energy consumed in the manufacture of imported goods doesn't show up as US energy consumption.   Therefore, the connection between GDP and energy consumption has to be a fairly weak one. But I think it might be worthwhile to briefly address just what IS the GDP.

Perhaps an economist out there can answer these question:

  1. Is the sale of real estate and the commissions derived thereof included in the GDP?

  2. Are the commissions for financial transfer activities, such as from the sale of stocks and bonds, included in the GDP?

  3. Does a lawsuit contribute to the GDP?

  4.  What type of economic activities are NOT included in the GDP?  
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Gloomy on October 20, 2005 - 2:38pm Permalink | Subthread | Parent | Comments top
  1. The RE sale commision is included in GDP as a service. Building a new house by a construction company is included as "goods".
  2. Commisions for financial transfer activities are also services.
  3. The rates you pay for lawyers are considered a service; for the court taxes I'm not sure - I think yes for the USA;
  4. If you make something for your own usage the statistics can not reflect it as part of GDP.
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JD on October 20, 2005 - 8:19pm Permalink | Subthread | Parent | Comments top
One important exclusion is "capital goods" or "intermediate goods" which are used to make finished products. For example, sales of auto parts to car manufacturers are not counted. The rationale is that the price of the finished vehicle includes the price of the parts, and to count both would be double counting.
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31 comments on The Productivity of Vehicles

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